A new Trust Companies Bill with comprehensive policies will be tabled in Parliament this year, replacing the outdated 1949 Act to modernise the sector.

KUALA LUMPUR: A new Trust Companies Bill is set to be tabled in the Dewan Rakyat this year. Deputy Minister of Domestic Trade and Cost of Living Datuk Dr Fuziah Salleh confirmed the Bill will replace and repeal the Trust Companies Act 1949 (Act 100).

She said the new legislation will introduce more comprehensive policies and guidelines. It is designed to cover four main regulatory clusters.

These include defining the parameters of permissible activities and establishing a mandatory registration regime. A beneficial ownership reporting framework for trust businesses will also be implemented.

The Bill will further encompass administration, governance, and corporate rescue mechanisms. Provisions for striking off names and the winding-up and dissolution of trust companies are included.

Fuziah detailed the consultation process during a parliamentary question-and-answer session. Public consultation to finalise the Bill began on April 2, 2024.

Engagement sessions were held with industry players and key stakeholders. Regulatory agencies like the Securities Commission and Bank Negara Malaysia were also involved.

She was responding to a query from Lee Chean Chung (PH-Petaling Jaya). He had asked about reforms for private trust companies and amendments to Act 100.

The proposed changes aim to modernise the regulatory framework for trust companies. They seek to enhance governance and transparency within the sector.

 The Sun Malaysia